Federal Deposit Insurance Corporation

The Federal Deposit Insurance Corporation (FDIC) is a U.S. government agency that protects bank customers by insuring their deposits. If a bank fails, the FDIC ensures that depositors recover their money up to a certain limit, which is currently $250,000 per depositor, per bank. This insurance helps maintain public confidence in the financial system by assuring people that their money is safe even if their bank encounters problems. The FDIC also monitors banks to promote stability and sound banking practices.